SURPRISINGLY enough, there are some critics of the eminent KwaZulu-Natal north coast who say that the infrastructure is not adequate for the volume of people that frequent the area during the festive season.
This is definitely a valid concern as many of the more affluent investors tend to input their wealth into this popular holiday destination.
Perhaps a negative for coastal areas in general is that they can become inundated with holidaymakers over the peak periods, and there is nothing more unappealing than traffic congestion, infrastructural shortfalls and the likes.
John Pechey of RE/MAX Dolphin says that the infrastructure of the KwaZulu-Natal north coast is inadequate as the beaches cannot handle the masses of holidaymakers. "The sewerage systems are inadequate, the beaches are not maintained properly and parking is also a major issue, which can on the other hand make other beaches appear more attractive as they are quiet and cleaner," says Pechey.
Niel Cronje, CEO Engel and Völkers SA, excluding Western Cape, agrees only partially with Pechey as he believes that the infrastructure is good.
However he says there is a concern about the congestion of some roads in the Ballito area.
"This is due to the proliferation of many new developments. Looking on the positive side of this, the influx of new homeowners has boosted the need for additional commercial and retail centres, creating more work opportunities and as a result, a greater demand for property," says Cronje.
Keith Wakefield, CEO of Wakefields Estate Agents, says that like all seaside holiday areas, traffic in Umhlanga becomes congested during the holiday seasons. This may upset the locals, but it is worth noting that holidaymakers do bring much-needed income into the area.
"Proposed improvements to Umhlanga include a new pier and the widening of the bridge and road into Umhlanga," he says.
Even with all this negative, but constructive comment, there are some developments on the north coast that do not add to this problem, but instead have enhanced the area’s infrastructure. One such developments is the Zimbali Coastal Resort and its infrastructural development plan. Over the past 24 months, an amount of R250m has been spent on new roads, sewerage and electricity. Perhaps a spin off of these infrastructural improvements is that over the same period more than R400m in new land sales within Zimbali have been recorded. Moreover, Andreas Wassenaar, the sales and marketing manager of Zimbali, says that last year the resale of houses in Zimbali reached the R180m mark.
Although somewhat slow in response to development around the rest of SA, KwaZulu-Natal is now playing catch-up, with a large focus of development on the north coast. With areas such as Ballito expanding rapidly coupled with government’s assurance that earthworks will start on the La Mercy’s King Shaka International Airport this year, there are no signs of this trend slowing down.
Over the past few years, the KwaZulu-Natal property market has experienced a boom as much of the Durban city centre has started to relocate to the La Lucia and Umhlanga Ridge areas.
Accompanying the development has been the increase in local amenities, including larger shopping areas such as the Ballito Lifestyle Centre, incorporating more of the larger retailers.
Some development areas have seen developers taking the initiative in relieving congestion caused by the growth in developments by planning of new roads and sewerage plants, as was undertaken by the éLan Group in the construction of Simbithi Eco-Estate.
One of the greatest spin-offs of the growth in development on the north coast has been the community initiatives and job creation that has occurred throughout the region. The éLan Group report over 2500 previously unemployed persons being employed on Simbithi Eco-Estate alone, most of whom have now attended SETA training courses and are consequently equipped with formal training and qualifications to propel them further into the future.
Wakefield says that the growth that the north coast has experienced, has to a large degree been driven by Moreland
— the major landowner in the area and the property arm of the Tongaat Hulett Group. Moreland has created what is known as the New Town Centre development scheme around the Gateway Theatre of Shopping and the Umhlanga Ridge office park. This development scheme is providing A-grade office accommodation for regional and corporate head offices. A new hotel is also planned for the Gateway precinct."We are very fortunate to have exceptional infrastructure with the N2 freeway acting as the main arterial route and local authorities which actually do work unlike other parts of the country," says Wassenaar, who believes that traffic congestion is something that does not exist when compared to Johannesburg and Cape Town.
It is important to mention that in peak periods, over-populated areas and traffic congestion are all par for the course when it comes to investing in a coastal area. The difference is whether or not the coastal region is attempting to address these issues. The north coast has certainly recognised that its coastal towns are destined for continued boom time, and as a result are working hard to ensure their future success by cautious planning and increased funds into the region’s infrastructure.
Publisher: Business Day
Source: Business Day

